web 2.0 fueling multichannel marketing brett hurt founder and ceo, bazaarvoice 29 april 2008

Web 2.0 Fueling Multichannel Marketing

Brett HurtFounder and CEO, Bazaarvoice

29 April 2008

Are consumers hearing you?

Confidential and Proprietary. © 2008 Bazaarvoice, Inc. 2

71% of online shoppers read reviews, making it the most widely read consumer-generated content – Forrester

70% of UK online researchers find product ratings/reviews most helpful when researching for an online or offline purchase – Jupiter Research, 2008

69% of consumers who read reviews share them with friends, family or colleagues, thus amplifying their impact – Deloitte & Touche

82% of those who read reviews say their purchasing decisions have been directly influenced by those reviews – Deloitte & Touche

78% rank consumer recommendations as the most credible form of advertising – Nielsen, “Word-of-Mouth the Most Powerful Selling Tool”

97% of online researchers in the UK are willing to trust online customer reviews – Jupiter Research, 2008

39% of those who bought from sites with reviews cite the reviews as the primary factor influencing the purchase decision – Foresee Results Study, 2006

62% of consumers read consumer-written product reviews on the Internet –

Deloitte & Touche

94% of UK online researchers use online customer reviews – Jupiter Research, 2008

Two thirds of UK social networkers (66%) are more likely to buy a product as a

result of a recommendation – Royal Mail’s Home Shopping Tracker Study 2007

55% of surveyed Internet users consulted other people’s opinions online,

making reviews the #1 resource for product research – Avenue A/Razorfish “Digital

Consumer Behavior Study,” 2007

86.9% of respondents said they would trust a friend’s recommendation over a

review by a critic, while 83.8% said they would trust user reviews over a critic –

Nielsen, “Word-of-Mouth the Most Powerful Selling Tool”

91% of moms prefer brands that other moms have recommended – Marketing VOX,

2006

58.7% of shoppers said they used product reviews to make decisions. Reviews

rated higher than clearance sale pages (56.4%) and featured sale pages (51.3%) – Shop.org, 2007

To sum it all up:

CUSTOMERS WANT TO HEAR FROM OTHER CUSTOMERS, NOT ADVERTS!


» Percent of 4 and 5-star reviews across all Bazaarvoice US and UK clients:

» UK – 88%

» US – 81%

UK customer feedback is very positive

0%

10%

20%

30%

40%

50%

60%

70%

1 2 3 4 5

UK

US

Leverage UGC throughout the buying cycle and within all channels

User-generated content (UGC) enhances all touch points, all purchase stages, and drives post-purchase engagement

and loyalty


UGC makes your brand stand out

Customer voice fuels research, drives awareness through

» Natural search (SEO)

» Syndication

» Social networks

» Advertising

» Mass Media


UGC amplifies natural search

» 60% growth week over week

» 70% of traffic is new

» 17% more revenue than paid search

» 97% more revenue than general natural search

» 82% more page views per visitor


Ratings & Reviews make in-store ads engaging


Product ratings draw attention in mass marketing


UGC gives consumers confidence to buy


Customer voice builds interest and trust» Product-page

» E-mail

» Site merchandising

» In-store displays

» Catalogs

» On-air, on your channel

Reviews drive conversion on the product page


» 12.5% higher conversion for products with reviews

» 83.85% higher conversion for products with 20+ reviews

» Look-to-book ratio 4x lower (better) for reviewed products


»Ratings integrated with site navigation and merchandising

»“Top-Rated” browsers:

»49% higher conversion

»63% higher AOV

UGC-based merchandising drives conversion and AOV


»“Sort by rating” searchers:

»20% higher conversion

»10% higher AOV*

»Sort by rating so successful it’s now default sort option

Ratings aid product discovery and drive conversion

* Compared to all browsers

Ratings & Reviews enhance in-store merchandising


Mobile reviews support consideration ANYWHERE


»Enable store customers to look up reviews on product in the stores.

»Other mobile opportunities:

» Cross sell

» Couponing

» Analytics

» Display product specifications

» Research and polling

User-generated Q&A drives conversion


» Only 4% of “question askers” and 25% of “contributors” have previously written a review, thus capturing a new part of the community.

18.26%18.26%

22%

One question with one answer

At least two questions, each

with answers

UGC drives loyalty, engagement, and community


Customer voice drives ongoing engagement

» Post-purchase review requests

» Reward loyal customers with advance review opportunities

» “Expert” reviewer badging

» Use UGC to fuel marketing messages

UGC drives trust and loyalty


» 78% of consumers have more trust for brands with reviews1

» Consumers are 18% more likely to buy again from a retailer with reviews2

1: buySAFE2: ForeSee Results, Jan. 2007

UGC ensures more satisfactory purchases


» Return rates decrease 20.4% for products with reviews for PETCO

» Return rates drop 45% for products with 25+ reviews

Encouraging post-purchase feedback fuels multichannel marketing


Receipt Integration

Circular Integration

Shelf Tags

Q&A

Please visit stand #W464 to learn moreabout Bazaarvoice

Brett HurtCEO and [email protected] www.bazaarblog.com


mailto:[email protected]

http://www.bazaarvoice.com/

http://www.bazaarblog.com/

web 2.0 fueling multichannel marketing brett hurt founder and ceo, bazaarvoice 29 april 2008

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